FxWirePro: Copper remains capped below daily cloud, bias lower

• Copper prices staged a sharp rebound from a break below 100-DMA on Monday.
   
• However, recovery remains capped below daily cloud, bias remains lower. 
   
• End of a strike at the world’s largest copper mine (in Chile) eased supply worries weighing on price.
   
• Price action below daily cloud, decisive close below 100-DMA (2.6164) to see further downside.
   
• Momentum studies are bearish, we see scope for test of 2.485 (trendline support).
   
• RSI converging nicely with price action, Stochs biased lower.

Support levels - 2.587 (Mar 22 low), 2.558 (Mar 9 low), 2.485 (trendline)

Resistance levels - 2.6386 (5-DMA), 2.6358 (cloud base), 2.654 (March 23 high)

TIME  TREND INDEX  OB/OS INDEX    

1H          Bearish               Oversold       
4H          Bearish               Neutral       
1D          Bearish               Neutral        
1W         Bearish               Neutral      

Recommendation: Good to go short on close below 100-DMA, SL:  2.6270, TP: 2.560/ 2.50/ 2.485